Finance Agreements do not bar Diminution Claim Recovery

A Court has ruled that a Claimant who took out finance to purchase their vehicle is able to make a claim for diminution.

Insurers in the case had argued that because a finance company held the title of the vehicle as security for the money it lent, our client was not the owner and had no standing to make a claim for the diminution loss.

The ruled that it was trite law that our client as a bailee in possession had proper standing and awarded damages in full.

Commenting on the Judgement, Emma Bell said:

“This is a significant win for Clifford James and Claimants alike. Insurers continue to try and prevent Claimant’s from making proper claims for diminution on absurd arguments that hold no basis or logic. Had the Court ruled in favour of the Defendant, any Claimant with a repair claim would be barred from recovering this loss just because they opted to obtain finance to purchase a vehicle. This isn’t an unusual scenario and in a lot of cases buying a car is one of the largest investments people make.”